In Brief
The Gujarat Maritime Board allotted a shipbreaking plot to Asiatic Steel Industries following a competitive bid of Rs. 3,61,20,000. After payment, Asiatic Steel discovered the plot was unusable due to rocks preventing ship beaching and requested refund. Though the Board was aware that three similarly situated bidders had obtained refunds with interest by court orders, it refused Asiatic Steel's refund demand for years, forcing a court petition. The Supreme Court held the Board's conduct arbitrary and discriminatory, dismissing its appeal but modifying the High Court's order on the date from which interest should be calculated (from 22.03.1995 instead of 08.11.1994).
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